SlideShare a Scribd company logo
HOW TO
MOVE TO THE CLOUD?
Application migrations offer new revenue opportunities
By Jelle Frank van der Zwet & Ian Murphy
@interxion
INTRODUCTION
This presentation looks at the practical issues for
moving applications to the cloud.
It addresses the need to choose the applications
carefully and how to decide which type of cloud
platform is suitable for delivering cloud benefits.
2 How to move to the cloud?
INTRODUCTION
We want to lay down some straight-forward advice and steps on how this
can be achieved.
That’s what this presentation delivers.
3 How to move to the cloud?
INTRODUCTION
The issues addressed are:
 WHAT APPLICATIONS GO WHERE?
 CHOOSING A CLOUD DEPLOYMENT MODEL
• IaaS
• PaaS
• SaaS
 YOUR MIGRATION TO THE CLOUD
• Migration paths to the cloud
 ASSESSING RETURN ON INVESTMENT (ROI)
• Cloud premiums
4 How to move to the cloud?
WHAT APPLICATIONS
GO WHERE?
How to move to the cloud?5
WHAT APPLICATIONS GO WHERE?
6 How to move to the cloud?
WHAT APPLICATIONS GO WHERE?
Not every application is suitable for cloud deployment.
Advising customers on what applications should be deployed in or out of
the cloud can be complicated.
7 How to move to the cloud?
WHAT APPLICATIONS GO WHERE?
8 How to move to the cloud?
1. Is the application data business-
sensitive?
2. Where will the data be held:
locally, or in the cloud with the
application?
3. Can the location of the data be
determined to ensure that
compliance is adhered to?
4. Is the application business-
critical?
5. Does the cloud provider offer
better disaster recovery
capabilities than you currently
use?
6. How is data secured?
CHOOSING A CLOUD
DEPLOYMENT MODEL
How to move to the cloud?9
WHICH DEPLOYMENT MODEL?
There are three key deployment models that underpin the right cloud migration
path to take:
 Infrastructure as a Service (IaaS)
• IaaS is a basic cloud service. It provides resources such as virtual
machines (VM), network load balancers, storage and connectivity.
• To take advantage of this model, computing resources such as
CPU, memory, storage and network are added to a VM and then an
application is deployed into that same VM.
• While the underlying platform is managed by the cloud provider, the user of
the platform is responsible for maintaining their applications and taking
backups.
10 How to move to the cloud?
WHICH DEPLOYMENT MODEL?
Platform as a Service (PaaS)
• PaaS is a computing platform, operating systems, databases and
applications delivered by the cloud provider.
• Customers deploy onto, and developers write code for, the PaaS. This is
often a highly automated and scalable environment.
• Management tools ensure resources are provisioned when demand
reaches a given level.
11 How to move to the cloud?
WHICH DEPLOYMENT MODEL?
Software as a Service (SaaS)
• The application software is installed in the cloud and accessed by the user
only when needed.
• The cloud owner manages the software and owns the licenses and
effectively rents the software to the users which means they make
significant savings by only paying for software when they are using it.
12 How to move to the cloud?
WHICH DEPLOYMENT MODEL?
13 How to move to the cloud?
YOUR MIGRATION
TO THE CLOUD
How to move to the cloud?14
MIGRATION PATHS TO THE CLOUD
According to Gartner, there are five key migration paths to a fully enabled
cloud environment:
 Re-host on IaaS
 Re-factor for PaaS
 Revise for IaaS or PaaS
 Rebuild on PaaS
 Replace with SaaS
Each of these has their pros and cons and offers opportunity for the systems
integrator to add value.
15 How to move to the cloud?
PATHS TO THE CLOUD
 Re-host on Infrastructure as a Service (IaaS)
16 How to move to the cloud?
Pros Cons
• Speed: Applications can be easily moved
from physical to virtual using a variety of tools
and the application can then be uploaded
directly to the cloud provider’s environment
• Cost savings: No local hardware to buy and
no power or cooling costs
• Scalability: Customer is responsible for adding
or removing resources which can lead to a delay
in incident response
• Maintenance: Customer is still responsible for
the maintenance and patching of their virtual
machines
• Distributed applications: These require careful
checking to ensure that all relevant elements of
the application have been captured in the virtual
machine otherwise the applications will fail
• Backups: If data is uploaded, there must be off-
site backups by the customer
PATHS TO THE CLOUD
 Re-factor for Platform as a Service (PaaS)
17 How to move to the cloud?
Pros Cons
• Familiarity: Developers are using the same
languages and tools that they currently use
• Integrated management: Operations teams
are using a single management tool to
manage local and cloud based systems
• Savings: No need for retraining the IT
department to learn new management tools or
languages
Lock-in: There is a risk of lock-in when the
developer embeds access to other services from
the cloud provider. This can be avoided by
sticking to the capabilities of the generic
languages and frameworks.
• Missing capabilities: Only those features
supported by the cloud provider will be available
in the development and support frameworks. This
may mean that early in the cloud provider’s
deployment, there could be limitations on what
can be achieved.
PATHS TO THE CLOUD
 Revise for IaaS or PaaS
18 How to move to the cloud?
Pros Cons
• Performance: Application extensions that are
written to perform natively on the cloud
platform will run faster and take advantage of
features that may not be available on the
existing platform.
• Faster time to market: Writing new front-ends
to legacy applications means delivering quick
wins to Business Units.
• Integration: Highly integrated applications will
make it easier for business units to take
advantage of IT systems and the data they
contain.
• Slower time to market: If the entire
application is to be moved to the cloud and
then extended to take advantage of new
services, this is likely to take quite some time
before benefits are available.
PATHS TO THE CLOUD
 Rebuild on PaaS
19 How to move to the cloud?
Pros Cons
• Performance: Applications that are written to
perform natively on the cloud platform will run
faster and take advantage of features that may
not be available on the existing platform.
• Savings: Moving from large legacy hardware
estates that are often expensive to maintain and
run will result in significant cost savings.
• New platform features: Taking advantage of the
new features inside the cloud provider’s platform
will save the IT department having to add those to
existing applications. As a result, this should
generate a higher ROI than the Revise option.
• Lock-in: Once applications have been tightly
integrated with the service provider’s platform, it
may be difficult to move from that platform to an
alternative supplier.
PATHS TO THE CLOUD
 Replace with Software as a Service (SaaS)
20 How to move to the cloud?
Pros Cons
• Cost savings: No local hardware, no
software licences and no power or cooling
costs. This is virtually the same as an
outsourced solution with the benefit of flexible
resource allocation for workload flows.
• Access to high value enterprise software
comes within the reach of SMEs who can now
afford to deploy software that can offer a
competitive advantage.
• Scalability: This is handled automatically by
the cloud provider through their SaaS
platform.
• Lock in: For commodity software such as office-
based applications this is not an issue, but where
the software needs significant customisation, any
breakdown in the business relationship between
the business and the cloud provider could be a
problem.
ASSESSING
RETURN ON INVESTMENT
How to move to the cloud?21
ASSESSING ROI
• The real ROI for cloud is about the costs that it would take to deliver the
same level of service internally.
• This includes hard and soft metrics such as uptime, user experience, cost
of hardware / software, integration, cost of bandwidth, data centre power
and cooling costs, and staff costs
22 How to move to the cloud?
ASSESSING ROI
 Cloud Premiums
• The key to establishing an ROI on cloud is to look at what a cloud solution
enables that could not have been achieved using existing IT systems or
platforms. This should be thought of as a cloud premium
• The most effective way of determining the cloud premium as part of the
ROI is to compare the business case with what cloud offers.
• When doing this, consider what it would cost to deliver this using existing IT
infrastructures and tools. This will help clarify what is cloud premium and
what is simply a benefit from more flexible processes.
23 How to move to the cloud?
ASSESSING ROI
24 How to move to the cloud?
Business Case Cloud Premium
Reducing the cost of
development and testing
environments
• The speed with which a testing environment can be
provisioned
• Ability to do more intensive and extensive testing of
applications
• Access to high value test tools on demand via SaaS
• Access to test professionals in different locations
Scalability • Ease of adding additional compute, network and/or storage
resources
• Ability to shrink resource pool when not required
Competitive advantage • Faster time-to-market for new applications and solutions
means new market opportunities can be quickly explored
• Speed of identification of trends and designing competitive
solutions
• Lower cost of IT releasing more money for other parts of the
business
TO DOWNLOAD THE
WHITE PAPER IN FULL
CLICK HERE

More Related Content

PPTX
Cloud migration
PPTX
Cedar Day 2018 - Cloud IaaS - Ken MacMahon
PPTX
Planning for a (Mostly) Hassle-Free Cloud Migration | VTUG 2016 Winter Warmer
PPTX
Cloud Migration - Cloud Computing Benefits & Issues
PPTX
Planning A Cloud Implementation
PDF
Intel IT Open Cloud - What's under the Hood and How do we Drive it?
PDF
A Practical Guide to Cloud Migration
PPTX
Cloud migration
Cloud migration
Cedar Day 2018 - Cloud IaaS - Ken MacMahon
Planning for a (Mostly) Hassle-Free Cloud Migration | VTUG 2016 Winter Warmer
Cloud Migration - Cloud Computing Benefits & Issues
Planning A Cloud Implementation
Intel IT Open Cloud - What's under the Hood and How do we Drive it?
A Practical Guide to Cloud Migration
Cloud migration

What's hot (20)

PPTX
Converting Your Existing SAP Server Infrastructure to a Modern Cloud-Based Ar...
PPTX
6 Effective Ways to Evaluate Your On-Premise Law Software
PDF
Microservices Architecture Enables DevOps: Migration to a Cloud-Native Archit...
PPTX
Exploring IT Technical Assessments
PPTX
Migrating your Existing Applications to the Cloud
PPTX
Cloud migration presentation
PDF
Cloud Transformation
PPTX
Cloud migration services
PPTX
Cloud Migration Strategy Framework
PPTX
Mashing Up DevOps with Cloud Computing
PDF
Migration to the hybrid cloud in 4 steps
PDF
CloudExpo NY 2014: Moving Mission Critical Applications to the Cloud
PPT
Introducing AIS BusinessCloud1
PDF
Journey to the cloud- A practical approach (November 7, 2012 Innovation Dinner)
PPTX
Cloud Migration
PDF
CRM Trilogix; Migrating Legacy Systems to the Cloud
PPTX
How to Guarantee High Performance for Application Data in the Cloud
PPTX
Virtustream presentation
PDF
Cloud migration strategies
PPTX
From on premise to the hybrid cloud with microsoft azure
Converting Your Existing SAP Server Infrastructure to a Modern Cloud-Based Ar...
6 Effective Ways to Evaluate Your On-Premise Law Software
Microservices Architecture Enables DevOps: Migration to a Cloud-Native Archit...
Exploring IT Technical Assessments
Migrating your Existing Applications to the Cloud
Cloud migration presentation
Cloud Transformation
Cloud migration services
Cloud Migration Strategy Framework
Mashing Up DevOps with Cloud Computing
Migration to the hybrid cloud in 4 steps
CloudExpo NY 2014: Moving Mission Critical Applications to the Cloud
Introducing AIS BusinessCloud1
Journey to the cloud- A practical approach (November 7, 2012 Innovation Dinner)
Cloud Migration
CRM Trilogix; Migrating Legacy Systems to the Cloud
How to Guarantee High Performance for Application Data in the Cloud
Virtustream presentation
Cloud migration strategies
From on premise to the hybrid cloud with microsoft azure
Ad

Viewers also liked (20)

PPTX
How to Make Your Move to the Cloud with Confidence
PPTX
Cloud101-Introduction to cloud
PDF
Managing A Cloud Environment: How To Get Started And Which Way To Go
PDF
WSO2 Stratos 2010 September Workshop
PDF
Making Things Simpler: How Primitives Help Integrate BPM and Enterprise Archi...
PPTX
Cloud computing doing more with less
DOCX
JPJ1410 PACK: Prediction-Based Cloud Bandwidth and Cost Reduction System
PPTX
Cloud roadmap
PPTX
Cloud Computing: A New Trend in IT
PDF
Architectures For The Cloud
PDF
PERFORMANCE FACTORS OF CLOUD COMPUTING DATA CENTERS USING [(M/G/1) : (∞/GDM O...
PPTX
Managing Trade-offs among Architectural Tactics using Feature models and Feat...
PDF
Is your infrastructure holding you back?
PDF
Comparative Analysis of SOA and Cloud Computing Architectures using Fact Base...
PDF
OSDC 2016 - Hybrid Cloud - A Cloud Migration Strategy
PDF
The shortest path to cloud success - your roadmap
PDF
Concerns with cloud computing
PDF
Building Cloud Tools for Netflix
PDF
Multi-tenancy in the cloud
PPTX
Saa s multitenant database architecture
How to Make Your Move to the Cloud with Confidence
Cloud101-Introduction to cloud
Managing A Cloud Environment: How To Get Started And Which Way To Go
WSO2 Stratos 2010 September Workshop
Making Things Simpler: How Primitives Help Integrate BPM and Enterprise Archi...
Cloud computing doing more with less
JPJ1410 PACK: Prediction-Based Cloud Bandwidth and Cost Reduction System
Cloud roadmap
Cloud Computing: A New Trend in IT
Architectures For The Cloud
PERFORMANCE FACTORS OF CLOUD COMPUTING DATA CENTERS USING [(M/G/1) : (∞/GDM O...
Managing Trade-offs among Architectural Tactics using Feature models and Feat...
Is your infrastructure holding you back?
Comparative Analysis of SOA and Cloud Computing Architectures using Fact Base...
OSDC 2016 - Hybrid Cloud - A Cloud Migration Strategy
The shortest path to cloud success - your roadmap
Concerns with cloud computing
Building Cloud Tools for Netflix
Multi-tenancy in the cloud
Saa s multitenant database architecture
Ad

Similar to How to move to the cloud (20)

PPTX
The 4 Things You Need To Know Before Migrating Your Business To The Cloud
PDF
Moving Apps to Cloud
PDF
Realizing Cloud POV
PDF
Cloud - moving applications to the cloud
PDF
Cloud services deep dive infoworld july 2010
PDF
Cloud Migration Key Points to Consider.pdf
PPTX
220929-Presentation-business case for moving to the cloud.pptx
PPTX
Cloud computing and migration strategies to cloud
DOCX
Cloud Considerations What you need to kn.docx
PPTX
Cloud computing elisheba wiggins
PDF
Cloud: a disruptive technlogy that CEO should use to transform their business
PDF
7 Myths about Cloud Computing
PPTX
Moving to the cloud: cloud strategies and roadmaps
PPTX
Re-Platforming Applications for the Cloud
PDF
Deciding to go cloud 09212010
PPTX
Cloud computing 101
PPTX
Moving to the cloud
PPTX
Cloud Computing
PPT
Using Cloud Computing to Change the Game of Finance
PPTX
Making the Business Case for Moving to the Cloud.pptx
The 4 Things You Need To Know Before Migrating Your Business To The Cloud
Moving Apps to Cloud
Realizing Cloud POV
Cloud - moving applications to the cloud
Cloud services deep dive infoworld july 2010
Cloud Migration Key Points to Consider.pdf
220929-Presentation-business case for moving to the cloud.pptx
Cloud computing and migration strategies to cloud
Cloud Considerations What you need to kn.docx
Cloud computing elisheba wiggins
Cloud: a disruptive technlogy that CEO should use to transform their business
7 Myths about Cloud Computing
Moving to the cloud: cloud strategies and roadmaps
Re-Platforming Applications for the Cloud
Deciding to go cloud 09212010
Cloud computing 101
Moving to the cloud
Cloud Computing
Using Cloud Computing to Change the Game of Finance
Making the Business Case for Moving to the Cloud.pptx

More from Interxion (11)

PDF
Digital Transformation and the Cloud - from Interxion and IDC
PPTX
The Rise of Hybrid IT
PPTX
Webinar: Cutting through the cloud adoption complexity
PDF
Selecting the best european country for your data centre
PPTX
7 steps to cloud onboarding
PPTX
Selecting the best european locations for your IT infratructure
PPTX
What's next for the cloud in the UK?
PPTX
What's next for the cloud in the Netherlands?
PPTX
What's next for the cloud in Switzerland?
PPTX
IT challenges in the Mobile Community
PPTX
No Cloud is an Island
Digital Transformation and the Cloud - from Interxion and IDC
The Rise of Hybrid IT
Webinar: Cutting through the cloud adoption complexity
Selecting the best european country for your data centre
7 steps to cloud onboarding
Selecting the best european locations for your IT infratructure
What's next for the cloud in the UK?
What's next for the cloud in the Netherlands?
What's next for the cloud in Switzerland?
IT challenges in the Mobile Community
No Cloud is an Island

Recently uploaded (20)

PDF
[발표본] 너의 과제는 클라우드에 있어_KTDS_김동현_20250524.pdf
PDF
Dropbox Q2 2025 Financial Results & Investor Presentation
PDF
NewMind AI Weekly Chronicles - August'25 Week I
PDF
Empathic Computing: Creating Shared Understanding
PPT
“AI and Expert System Decision Support & Business Intelligence Systems”
PPTX
PA Analog/Digital System: The Backbone of Modern Surveillance and Communication
PPTX
Big Data Technologies - Introduction.pptx
PDF
TokAI - TikTok AI Agent : The First AI Application That Analyzes 10,000+ Vira...
PDF
Machine learning based COVID-19 study performance prediction
PDF
Modernizing your data center with Dell and AMD
PDF
KodekX | Application Modernization Development
PDF
Chapter 3 Spatial Domain Image Processing.pdf
PDF
GDG Cloud Iasi [PUBLIC] Florian Blaga - Unveiling the Evolution of Cybersecur...
PDF
Peak of Data & AI Encore- AI for Metadata and Smarter Workflows
PDF
Advanced methodologies resolving dimensionality complications for autism neur...
PDF
Approach and Philosophy of On baking technology
PDF
Review of recent advances in non-invasive hemoglobin estimation
PDF
Spectral efficient network and resource selection model in 5G networks
PDF
Per capita expenditure prediction using model stacking based on satellite ima...
PPTX
breach-and-attack-simulation-cybersecurity-india-chennai-defenderrabbit-2025....
[발표본] 너의 과제는 클라우드에 있어_KTDS_김동현_20250524.pdf
Dropbox Q2 2025 Financial Results & Investor Presentation
NewMind AI Weekly Chronicles - August'25 Week I
Empathic Computing: Creating Shared Understanding
“AI and Expert System Decision Support & Business Intelligence Systems”
PA Analog/Digital System: The Backbone of Modern Surveillance and Communication
Big Data Technologies - Introduction.pptx
TokAI - TikTok AI Agent : The First AI Application That Analyzes 10,000+ Vira...
Machine learning based COVID-19 study performance prediction
Modernizing your data center with Dell and AMD
KodekX | Application Modernization Development
Chapter 3 Spatial Domain Image Processing.pdf
GDG Cloud Iasi [PUBLIC] Florian Blaga - Unveiling the Evolution of Cybersecur...
Peak of Data & AI Encore- AI for Metadata and Smarter Workflows
Advanced methodologies resolving dimensionality complications for autism neur...
Approach and Philosophy of On baking technology
Review of recent advances in non-invasive hemoglobin estimation
Spectral efficient network and resource selection model in 5G networks
Per capita expenditure prediction using model stacking based on satellite ima...
breach-and-attack-simulation-cybersecurity-india-chennai-defenderrabbit-2025....

How to move to the cloud

  • 1. HOW TO MOVE TO THE CLOUD? Application migrations offer new revenue opportunities By Jelle Frank van der Zwet & Ian Murphy @interxion
  • 2. INTRODUCTION This presentation looks at the practical issues for moving applications to the cloud. It addresses the need to choose the applications carefully and how to decide which type of cloud platform is suitable for delivering cloud benefits. 2 How to move to the cloud?
  • 3. INTRODUCTION We want to lay down some straight-forward advice and steps on how this can be achieved. That’s what this presentation delivers. 3 How to move to the cloud?
  • 4. INTRODUCTION The issues addressed are:  WHAT APPLICATIONS GO WHERE?  CHOOSING A CLOUD DEPLOYMENT MODEL • IaaS • PaaS • SaaS  YOUR MIGRATION TO THE CLOUD • Migration paths to the cloud  ASSESSING RETURN ON INVESTMENT (ROI) • Cloud premiums 4 How to move to the cloud?
  • 5. WHAT APPLICATIONS GO WHERE? How to move to the cloud?5
  • 6. WHAT APPLICATIONS GO WHERE? 6 How to move to the cloud?
  • 7. WHAT APPLICATIONS GO WHERE? Not every application is suitable for cloud deployment. Advising customers on what applications should be deployed in or out of the cloud can be complicated. 7 How to move to the cloud?
  • 8. WHAT APPLICATIONS GO WHERE? 8 How to move to the cloud? 1. Is the application data business- sensitive? 2. Where will the data be held: locally, or in the cloud with the application? 3. Can the location of the data be determined to ensure that compliance is adhered to? 4. Is the application business- critical? 5. Does the cloud provider offer better disaster recovery capabilities than you currently use? 6. How is data secured?
  • 9. CHOOSING A CLOUD DEPLOYMENT MODEL How to move to the cloud?9
  • 10. WHICH DEPLOYMENT MODEL? There are three key deployment models that underpin the right cloud migration path to take:  Infrastructure as a Service (IaaS) • IaaS is a basic cloud service. It provides resources such as virtual machines (VM), network load balancers, storage and connectivity. • To take advantage of this model, computing resources such as CPU, memory, storage and network are added to a VM and then an application is deployed into that same VM. • While the underlying platform is managed by the cloud provider, the user of the platform is responsible for maintaining their applications and taking backups. 10 How to move to the cloud?
  • 11. WHICH DEPLOYMENT MODEL? Platform as a Service (PaaS) • PaaS is a computing platform, operating systems, databases and applications delivered by the cloud provider. • Customers deploy onto, and developers write code for, the PaaS. This is often a highly automated and scalable environment. • Management tools ensure resources are provisioned when demand reaches a given level. 11 How to move to the cloud?
  • 12. WHICH DEPLOYMENT MODEL? Software as a Service (SaaS) • The application software is installed in the cloud and accessed by the user only when needed. • The cloud owner manages the software and owns the licenses and effectively rents the software to the users which means they make significant savings by only paying for software when they are using it. 12 How to move to the cloud?
  • 13. WHICH DEPLOYMENT MODEL? 13 How to move to the cloud?
  • 14. YOUR MIGRATION TO THE CLOUD How to move to the cloud?14
  • 15. MIGRATION PATHS TO THE CLOUD According to Gartner, there are five key migration paths to a fully enabled cloud environment:  Re-host on IaaS  Re-factor for PaaS  Revise for IaaS or PaaS  Rebuild on PaaS  Replace with SaaS Each of these has their pros and cons and offers opportunity for the systems integrator to add value. 15 How to move to the cloud?
  • 16. PATHS TO THE CLOUD  Re-host on Infrastructure as a Service (IaaS) 16 How to move to the cloud? Pros Cons • Speed: Applications can be easily moved from physical to virtual using a variety of tools and the application can then be uploaded directly to the cloud provider’s environment • Cost savings: No local hardware to buy and no power or cooling costs • Scalability: Customer is responsible for adding or removing resources which can lead to a delay in incident response • Maintenance: Customer is still responsible for the maintenance and patching of their virtual machines • Distributed applications: These require careful checking to ensure that all relevant elements of the application have been captured in the virtual machine otherwise the applications will fail • Backups: If data is uploaded, there must be off- site backups by the customer
  • 17. PATHS TO THE CLOUD  Re-factor for Platform as a Service (PaaS) 17 How to move to the cloud? Pros Cons • Familiarity: Developers are using the same languages and tools that they currently use • Integrated management: Operations teams are using a single management tool to manage local and cloud based systems • Savings: No need for retraining the IT department to learn new management tools or languages Lock-in: There is a risk of lock-in when the developer embeds access to other services from the cloud provider. This can be avoided by sticking to the capabilities of the generic languages and frameworks. • Missing capabilities: Only those features supported by the cloud provider will be available in the development and support frameworks. This may mean that early in the cloud provider’s deployment, there could be limitations on what can be achieved.
  • 18. PATHS TO THE CLOUD  Revise for IaaS or PaaS 18 How to move to the cloud? Pros Cons • Performance: Application extensions that are written to perform natively on the cloud platform will run faster and take advantage of features that may not be available on the existing platform. • Faster time to market: Writing new front-ends to legacy applications means delivering quick wins to Business Units. • Integration: Highly integrated applications will make it easier for business units to take advantage of IT systems and the data they contain. • Slower time to market: If the entire application is to be moved to the cloud and then extended to take advantage of new services, this is likely to take quite some time before benefits are available.
  • 19. PATHS TO THE CLOUD  Rebuild on PaaS 19 How to move to the cloud? Pros Cons • Performance: Applications that are written to perform natively on the cloud platform will run faster and take advantage of features that may not be available on the existing platform. • Savings: Moving from large legacy hardware estates that are often expensive to maintain and run will result in significant cost savings. • New platform features: Taking advantage of the new features inside the cloud provider’s platform will save the IT department having to add those to existing applications. As a result, this should generate a higher ROI than the Revise option. • Lock-in: Once applications have been tightly integrated with the service provider’s platform, it may be difficult to move from that platform to an alternative supplier.
  • 20. PATHS TO THE CLOUD  Replace with Software as a Service (SaaS) 20 How to move to the cloud? Pros Cons • Cost savings: No local hardware, no software licences and no power or cooling costs. This is virtually the same as an outsourced solution with the benefit of flexible resource allocation for workload flows. • Access to high value enterprise software comes within the reach of SMEs who can now afford to deploy software that can offer a competitive advantage. • Scalability: This is handled automatically by the cloud provider through their SaaS platform. • Lock in: For commodity software such as office- based applications this is not an issue, but where the software needs significant customisation, any breakdown in the business relationship between the business and the cloud provider could be a problem.
  • 21. ASSESSING RETURN ON INVESTMENT How to move to the cloud?21
  • 22. ASSESSING ROI • The real ROI for cloud is about the costs that it would take to deliver the same level of service internally. • This includes hard and soft metrics such as uptime, user experience, cost of hardware / software, integration, cost of bandwidth, data centre power and cooling costs, and staff costs 22 How to move to the cloud?
  • 23. ASSESSING ROI  Cloud Premiums • The key to establishing an ROI on cloud is to look at what a cloud solution enables that could not have been achieved using existing IT systems or platforms. This should be thought of as a cloud premium • The most effective way of determining the cloud premium as part of the ROI is to compare the business case with what cloud offers. • When doing this, consider what it would cost to deliver this using existing IT infrastructures and tools. This will help clarify what is cloud premium and what is simply a benefit from more flexible processes. 23 How to move to the cloud?
  • 24. ASSESSING ROI 24 How to move to the cloud? Business Case Cloud Premium Reducing the cost of development and testing environments • The speed with which a testing environment can be provisioned • Ability to do more intensive and extensive testing of applications • Access to high value test tools on demand via SaaS • Access to test professionals in different locations Scalability • Ease of adding additional compute, network and/or storage resources • Ability to shrink resource pool when not required Competitive advantage • Faster time-to-market for new applications and solutions means new market opportunities can be quickly explored • Speed of identification of trends and designing competitive solutions • Lower cost of IT releasing more money for other parts of the business
  • 25. TO DOWNLOAD THE WHITE PAPER IN FULL CLICK HERE

Editor's Notes

  • #14: This diagram demonstrates how cloud, location, performance and applications can be brought together. General applications such as e-mail and collaboration are not high performance and can be placed on public cloud. At the other end of the spectrum are applications that are business-critical, highly sensitive and require high performance systems, such as ERP, finance and M2M trading. These are best run on dedicated systems where the business can provide security and risk analysis.